Global Automotive Rental And Leasing Market Size By Type (Passenger Car Rental, Passenger Car Leasing, Truck, Utility Trailer), By Mode (Online, Offline), By Lease (Open, Close), By End-User (Industrial, Corporate), By Geographic Scope And Forecast

Automotive Rental And Leasing Market Size And Forecast

Automotive Rental And Leasing Market size was valued at USD 208.81 Billion in 2024 and is projected to reach USD 421.02 Billion by 2031, growing at a CAGR of 7.37% from 2024 to 2031.

So, what's driving the worldwide automotive rental and leasing business? Well, think about itpeople need to be adaptable, consumers are getting smarter and more aware, the used car market is booming, and new markets are popping up everywhere! And get thisthe industry's also seeing a surge in the use of big data and IoT – it's a real game-changer. Want the full picture? This study on the Global Automotive Rental And Leasing Market really digs in. It's a holistic evaluation, offering a deep dive into all the key segments, trends, the things helping it grow (drivers), the things holding it back (restraints), who's competing, and all the other important factors that are shaping the market.

Global Automotive Rental And Leasing Market Definition

The Automotive Rental And Leasing Market is made up of companies – whether they're big organizations, solo entrepreneurs, or partnerships – that let you rent or lease vehicles. We're talking passenger cars, trucks and vans, even utility trailers and RVs (but no drivers included!). Many of these businesses operate like a retail store, with a specific section dedicated to automotive rentals and leases. Some focus on quick, short-term rentals, others offer longer-term leases, and some do both. Why is renting or leasing vehicles so appealing? Well, it's a great alternative to buying, offering a ton of benefits and giving you access to a wider range of equipment for better job flexibility.

Car rental companies manage their fleets using special deals with car makers. Often, these deals include repurchase agreements, where the manufacturer promises to buy back the vehicles at a set depreciation rate within a certain timeframe. Now, when it comes to leasing, the agreement has to be in writing and both the lessor and lessee need to acknowledge it. You can sign the lease contract as either an operating lease or a finance lease. Many people like leasing because it's super easy to switch cars and pick out a new model when the lease is up.

Basically, you get to drive a brand-new car every few years without the hassle of selling your old one or worrying about repair costs once the manufacturer's warranty expires. Learn More

Global Automotive Rental And Leasing Market Overview

The Market are expected to be mainly driven by the increasing sales of electric vehicles over the forecast period. Leasing is increasingly being used as a fundamental method to drive electric vehicle businesses, especially in developed countries. By offering competitive monthly installment and vehicle replacement options, leasing compared with other purchasing processes significantly eases consumer attention around electric vehicle cost and technology obsolescence.

Furthermore, the increasing popularity of electric vehicles, e-commerce, increasing investment in big data and IoT, and blockchain penetration in automotive rentals and leasing sectors will further drive the growth of the market. There are two major trends observed in the Market. Automotive leasing and rental companies are utilizing technologies such as big data to enhance customer service and develop vehicle life. Big data allows companies to remind the driver to book a car for its service or repair engine oil.

This technology also helps leasing companies in decreasing driver risk and prevents the number of accidents, by giving the company insights into the driving practices and locations of its fleet. Another is the use of IoT by car rental and leasing companies in the maintenance and control of fleets. Using IoT technology, car leasing companies are capable of accessing odometer and diagnostic trouble codes in real-time that facilitate fleet maintenance. However, the growing popularity of on-demand taxi services is the major factor expected to restrict the growth of the Automotive Rental And Leasing Market.

The coronavirus disease (COVID-19) outbreak has also created a tremendous negative impact on the growth of this market across several countries in the world, principally in the countries where lockdowns is declared to control the disease. For instance, the US is severely hit by the coronavirus pandemic, and the Automotive Rental And Leasing Market has suffered a serious hit due to more stunted demand for their services. In France, the government had to negotiate and underwrite loans worth €225 million, for its car rental company Europcar.

Global Automotive Rental And Leasing MarketSegmentation Analysis

The Global Automotive Rental And Leasing Market is Segmented on the basis of Type, Mode, Lease, End-User, And Geography.

Automotive Rental And Leasing Market, By Type

• Passenger Car Rental
• Passenger Car Leasing
• Truck, Utility Trailer
• Recreational Vehicle Rental and Leasing

Based on Type, The market is bifurcated into passenger car rental, passenger car leasing, and truck, utility trailer, and recreational vehicle rental and leasing. Passenger car rental was the largest segment of the Automotive Rental And Leasing Market, estimated for 61.6% of the total in 2019, followed by truck, utility trailer, RV rental and leasing, and passenger car leasing. The growth of this segment is attributed to the numerous benefits associated with renting passenger cars such as lost cast traveling, affordability, comfort, and quality of life.

Automotive Rental And Leasing Market, By Mode

• Online
• Offline

Based on Mode, The market is bifurcated into Online and Offline. The offline segment was the largest segment of the Automotive Rental And Leasing Market, accounting for 50.6% of the total in 2019.

Automotive Rental And Leasing Market, By Lease

• Open
• Close

Based on Lease, The market is bifurcated into Open and Close. The open segment was the largest segment of the Automotive Rental And Leasing Market segmented by type of lease, estimated for 60.2% of the total in 2019. In an open-end lease, one can take on the vehicle’s depreciation risk. The total cost of ownership is not known until the vehicle is remarketed.

Automotive Rental And Leasing Market, By End-User

• Industrial
• Corporate

Based on End-User, The market is bifurcated into Industrial and Corporate. The industrial segment was the largest segment of the Automotive Rental And Leasing Market, estimated 56.5% of the total in 2019. It is also expected to be the fastest-growing segment in the Market segment over the forecast period.

Automotive Rental And Leasing Market, By Geography

• North America
• Europe
• Asia Pacific
• Rest of the world

On the basis of Regional Analysis, The Global Automotive Rental And Leasing Market is classified into North America, Europe, Asia Pacific, and the Rest of the world. The Asia-Pacific was the largest region in the global Automotive Rental And Leasing Market, estimating 31.9% of the total in 2019 followed by Western Europe, North America, and then the other regions. The growth of this region is attributed to an increase in consumer preference for leasing a vehicle instead of buying a new vehicle.

Key Players

The “Global Automotive Rental And Leasing Market” study report will provide valuable insight with an emphasis on the global market. The major players in the market are The Hertz Corporation, Avis Budget, Daimler Group, LeasePlan, Toyota Financial Services, Honda Canada Finance Inc., GM Financial, Ford Credit, and Ally Financial Inc. The competitive landscape section also includes key development strategies, market share, and market ranking analysis of the above-mentioned players globally.

Key Developments

• In May 2021, New York Place is the sixth city where Kyte, a new car rental service, has gone live. An app-based car rental service called Kyte delivers vehicles directly to customers.
• In Nov 2020, In order to provide leasing options for salaried individuals, working professionals, SMEs, public sector organizations, and corporate entities, Skoda Auto India teamed up with Orix Auto Infrastructure Services Ltd.
• In Oct 2020, For an undisclosed sum, Proses-owned OLX Group purchased the majority of CarSmile, a startup offering car leasing, and rental services in Poland. The funding will aid OLX’s growth in the new car market.
• In Aug 2020, In Delhi/NCR, Bengaluru, and Mumbai, Toyota Kirloskar Motor has launched its lease and subscription service. Toyota has partnered with Kinto under Toyota Financial Services, ALD Automotive India, and SMAS Auto Leasing India to put this into practice.

Report Scope

Research Methodology of Market Research

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Reasons to Purchase this Report

We dive deep into the market, looking at both the numbers and the more nuanced, human aspects that drive it. You'll get the market value (in USD Billion) for every area we explore. We'll point out which regions and segments are poised for the biggest booms and dominance. Our geographical analysis highlights product/service consumption, and we'll explain what's influencing the market in each region. The competitive landscape section ranks the big players and details their recent movesnew offerings, partnerships, expansions, and acquisitions from the last five years. We provide detailed company profiles, including overviews, insights, product comparisons, and SWOT analyses for major market participants. You’ll see the current and future market outlook, taking into account the latest developments (growth opportunities, drivers, challenges, and restraints) in both emerging and established regions. Expect an in-depth market analysis using Porter's five forces, plus a clear understanding of the value chain. We'll lay out the market dynamics and future growth possibilities. And to top it off, you'll get 6 months of analyst support after your purchase.

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